UBS WM's Tan on FX Markets Outlook

The video discusses the changing forecasts for the US dollar, highlighting the resilience of US data and disappointing growth in China as key factors. It explores the divergence in central bank policies, with hawkish stances from the Fed, ECB, and others, contrasting with dovish approaches from the Bank of Japan and People's Bank of China. The impact of interest rates on the Aussie dollar is examined, noting its sensitivity to US rates and its connection to China's growth. The video also covers the relationship between Japanese equities and the yen, suggesting that changes in yen strength may not significantly impact Japanese markets.

What measures are Chinese authorities taking to support their economy?

What is the expected outlook for the commodity complex currencies in the second half of the year?

How has the correlation between Japanese equities and the yen changed recently?